New Delhi, April 2 -- Global brokerage firm Bernstein has initiated coverage on renewable energy stocks Waaree Energies and Premier Energies with an 'Underperform' rating, citing limited competitive advantages and valuation concerns.

Bernstein has set a price target of Rs.1,902 for Waaree Energies, implying a downside of 20 percent from the stock's previous close. Similarly, the brokerage assigned a target price of Rs.693 for Premier Energies, suggesting a potential decline of 24 percent.

The downgrade comes at a time when India is aggressively expanding its solar energy sector, with an annual investment of $20 billion. However, Bernstein remains cautious about the long-term profitability of the industry. The brokerage highlighted that ...